Overseas competition sent Chesterfield engineering company under

A Chesterfield engineering firm which can trace its roots back 60 year went into administration after losing a £1m contract to an overseas rival.

Glenborough Engineering, which has worked with the likes of of Toyota and JLR, went under owing over £1.5m due to a cocktail of problems that included a subsidiary company (Glenborough Aerospace) being place into administration and probe by the Health and Safety Executive which forced the firm to upgrade its health and safety measures.

However, the company was finally sent into administration in April when it lost a £1m project it believed it was going to win to a foreign competitor. The advance payment on the contract was “significant”, said administrators from Keith Cottam and Gareth Self of Restart BTI, and it “undermined the confidence of the directors of Glenborough Engineering.

Some 51 people worked at Glenborough Engineering when it entered administration. Some staff were kept on to complete projects and realise payments of around £1m for secured creditors.

The firm entered administration owing £1.57m to unsecured creditors, including £271,619 to HMRC.